Audit of the Pension Plan at a Terminated Medicare Contractor, Trigon Blue Cross and Blue Shield of Virginia

The purpose of this review was to evaluate Trigon Blue Cross Blue Shield of Virginia (Trigon) compliance with the pension segmentation requirements of its Medicare contract and to determine the excess assets that should be remitted to Medicare as a result of the termination of the Medicare contractual relationship effective August 31, 1999.  We computed excess pension assets of $487,254 which Trigon should remit to the Federal Government.  Trigon agreed with our recommendation.